SoftBank Acquires Ampere Computing for $6.5 Billion, Bolstering AI Infrastructure Strategy

SoftBank to acquire semiconductor designer Ampere in $6.5B all-cash deal

SoftBank Group announced on Wednesday that it will acquire Ampere Computing, a chip designer founded by former Intel executive Renee James, through a $6.5 billion all-cash deal as a strategic move to broaden its investment in AI infrastructure. Ampere will be operate as a wholly-owned subsidiary of SoftBank after the deal, which is expected to close in the second half of 2025. Carlyle and Oracle, Ampere's lead investors, will sell their shares in the Santa Clara, California startup. According to SoftBank's statement, Carlyle holds a 59.65% stake while Oracle holds 32.27%. The startup employs 1,000 semiconductor engineers. In 2021, SoftBank considered acquiring a minority stake in Ampere, which was then valued at $8 billion, per Bloomberg. SoftBank is the largest shareholder of Arm Holdings, and Ampere has developed a server chip based on the ARM compute platform, positioning the two companies are strong partners. (Softbank acquired a British chip designer Arm for $32 billion in 2016, and it became publicly traded in 2023.) Ampere's customers include Google Cloud, Microsoft Azure, Oracle Cloud, Alibaba, and Tencent, as well as companies like HPE and Supermicro. SoftBank stated the Ampere acquisition will bolster its capabilities in key areas like AI and compute and expedite its growth initiatives. The most recent acquisition announcement follows a string of deals made by the Japanese tech mogul over the past few months, including its partnership with OpenAI to develop Advanced Enterprise AI called "Cristal intelligence." SoftBank has also invested in the AI infrastructure project Stargate, which is building data centers for OpenAI across the U.S., and purchased the old Sharp factory in Japan. "The future of Artificial Super Intelligence requires breakthrough computing power," said Masayoshi Son, Chairman and CEO of SoftBank Group Corp. "Ampere's expertise in semiconductors and high-performance computing will help accelerate this vision and deepens our commitment to AI innovation in the United States." Ampere was founded in 2017 by James, who previously worked at Intel and private equity firm Carlyle and served on the board of Oracle. The company initially specialized in cloud-native computing but has since expanded its scope to include sustainable AI compute. "With a shared vision for advancing AI, we are excited to join SoftBank Group and partner with its portfolio of leading technology companies," said James. "This is a fantastic outcome for our team, and we are excited to drive forward our AmpereOne roadmap for high-performance Arm processors and AI."

SoftBank to acquire Arm CPUs for datacenter firm Ampere in $6.5 billion cash deal

Ampere's roadmap includes the launch of 3nm processors with 256-cores later this year. SoftBank Group today said it would acquire Ampere Computing, a developer of Arm-based datacenter CPUs, for $6.5 billion in cash. Ampere will continue operating under its current name as a wholly owned subsidiary with 1,400 employees and will continue to offer its processors. SoftBank, which also controls Arm Holdings, is expected to use Ampere CPUs for its own datacenters, including proposed Stargate datacenters. Ampere was established in 2018 in Silicon Valley with the backing from Carlyle Group and Oracle with an aim to develop CPUs tailored for the needs of cloud service providers (CSPs), which the company calls 'cloud-native' processors. Since then, the company released two product families -- the Ampere Altra with up to 128 cores made on TSMC's N7 node and the AmpereOne with up to 192 cores made on TSMC's N5 manufacturing technology -- that gained limited traction in the CSP. The company's roadmap includes launch of AmpereOne CPUs with up to 256 cores produced on TSMC's N3 fabrication process in 2025 and then moves to something more advanced in 2026. With Arm's plans to offer its own datacenter-grade processors targeting hyperscalers and CSPs, Ampere's chances to gain a significant market share got substantially lower. Also, Ampere Computing has to compete with Intel's Xeon CPUs -- such as Sierra Forest with up to 144 cores and its successor Clearwater Forest in 2026 -- and this is something particularly hard given the ample ecosystem available for x86 CPUs. However, as a statement from Ampere reads, the company "is expected to play a key role in future Softbank growth markets, including recently announced AI infrastructure investments like Stargate." SoftBank's AI strategy involves building massive cloud datacenters. Next-generation cloud datacenters for AI are expected to house tens or hundreds of thousands of nodes, which will represent a huge market. If Ampere supplies millions of CPUs to its owner, then its business will expand beyond where it is now. Also, if other Stargate partners -- OpenAI and Oracle -- adopt Ampere's CPUs as a default choice for their datacenters, this could be a breakthrough for the company. This may never happen, though. "The future of Artificial Super Intelligence requires breakthrough computing power," said Masayoshi Son, Chairman and CEO of SoftBank Group Corp. "Ampere's expertise in semiconductors and high-performance computing will help accelerate this vision, and deepens our commitment to AI innovation in the United States." As part of the agreement, SoftBank will purchase Ampere for $6.5 billion in cash. Ampere's major investors -- Carlyle and Oracle -- are divesting their stakes in the company. The deal is contingent on standard closing requirements, including regulatory approvals, and is anticipated to be finalized in the latter half of 2025. "With a shared vision for advancing AI, we are excited to join SoftBank Group and partner with its portfolio of leading technology companies," said Renée J. James, Founder and CEO of Ampere. "This is a fantastic outcome for our team, and we are excited to drive forward our AmpereOne roadmap for high performance Arm processors and AI."

SoftBank buys server-grade Arm silicon designer Ampere

Japanese tech investor expects its own hyperscalers and e-com giants to collaborate, which could take a bite out of x86 market Japanese tech investment house SoftBank Group has announced its intention to acquire Ampere Computing, the chip design firm that makes server-grade silicon based on the Arm architecture. SoftBank (SBG) is paying $6.5 billion for the privilege. Ampere's major investors - Oracle and Carlyle - are selling their stakes. Ampere specializes in manycore CPUs like the "Ultra" model it launched in 2023 with between 96 and 192 of 'em inside, all compatible with the Armv8.6+ architecture and version 5 of the Server Base System Architecture - but also customized with tweaks of Ampere's own devising. Google, Microsoft, Oracle, Alibaba and Tencent are all users of Ampere silicon, either for their own workloads or powering IaaS and SaaS offerings. Why stop at 196 cores? Ampere isn't! In 2024 it announced the AmpereOne Aurora which will reach 512 cores. That monster chip is designed to handle AI workloads, and that appears to be what interested SoftBank as the Japanese company said buying Ampere will advance its "strategic vision and commitment to driving innovation in AI and compute." In Ampere's announcement of the deal, SBG CEO and Chairman Masayoshi Son is quoted as saying "The future of Artificial Super Intelligence requires breakthrough computing power. Ampere's expertise in semiconductors and high-performance computing will help accelerate this vision, and deepens our commitment to AI innovation in the United States." Ampere founder and CEO Renée J. James declared himself "excited to join SoftBank Group and partner with its portfolio of leading technology companies. SoftBank's announcement also mentions Ampere working with other SBG companies. "Ampere is expected to collaborate with the broader SBG ecosystem, including group companies, investees, and business partners," it states, before adding: "Through this strategic alignment following the Transaction, Ampere's expertise in developing and taping out ARM-based chips can be integrated, complementing design strengths of Arm Holdings." Those mentions of collaboration across SBG raises the tantalizing prospect that group businesses could adopt Ampere processors. Some of those businesses - like Korean/Japanese web giant LY Corp - operate at hyperscale. SoftBank also runs a telco in Japan, while its Vision Fund investment limb has stakes in TikTok operator ByteDance, numerous large-scale e-commerce players, plus enterprise tech outfits and AI upstarts. If SBG can steer its companies towards Ampere, a lot of workloads could shift from x86. We don't know what this all means for Arm's aspirations to create its own server processors, which reportedly saw Meta sign up as a customer. Maybe SoftBank will find a way to run two server processor businesses, or focus Arm on direct sales of custom jobs and let Ampere sell commodity kit. ®

SoftBank expands AI portfolio with $6.5bn Ampere deal

SoftBank has agreed to acquire chip start-up Ampere Computing for $6.5bn as the Japanese tech group's founder Masayoshi Son expands his ambitions in artificial intelligence. The deal is the latest big move by Son, who has said SoftBank will build a vast infrastructure for AI that includes chip design, production, energy, robotics and data centres. Ampere makes processors for cloud computing and data centre applications based on technology from UK chip designer Arm, which is majority-owned by SoftBank. Arm intends to launch its own chip this year after securing Facebook owner Meta as one of its first customers, in a radical change to its business model of merely licensing its blueprints to the likes of Apple and Nvidia. The chip will tap surging investment in AI infrastructure by big tech groups and is expected to be a processor for servers in large data centres, built on a base that can be customised for clients. Ampere and its chip designers are seen in the industry as another building block for Arm's evolution. SoftBank also bought UK-based, AI-focused chip start-up Graphcore last year. SoftBank said Ampere would "serve a critical role in the industry as hyperscalers and data centre providers are increasingly looking to improve energy efficiency and reduce costs". Ampere was founded by former Intel president Renée James in 2018. "This is a fantastic outcome for our team, and we are excited to drive forward our . . . road map for high-performance Arm processors and AI," James said in a joint statement on Thursday. In January, SoftBank and OpenAI unveiled a plan called Stargate to spend a purported $500bn building AI infrastructure in the US, with Abu Dhabi state fund MGX and Oracle also providing funding. Arm is a key technology partner for Stargate, along with Microsoft and Nvidia. California-based Ampere will operate as a wholly owned subsidiary of SoftBank but retain its name. Major investors Oracle and private equity group Carlyle will sell their stakes in Ampere as part of the deal, which is expected to close in the second half of this year.

SoftBank is buying ex-Intel president Renee James' chip design company for $6.5 billion

Ampere Computing will continue to work on 'high performance Arm processors and AI.' In case you need further evidence that companies involved in AI chip manufacturing are looking to give themselves whatever edge they can, SoftBank is adding to its institutional expertise by buying former Intel president Renee James' Ampere Computing. The conglomerate is paying $6.5 billion in cash for the chip design business. Ampere, which James founded in 2018, focused on cloud-native computing at first. No prizes for guessing which area the company has moved into since then: "sustainable AI compute," according to . SoftBank is betting that Ampere will bolster Arm's research and development. It was reported last month that Arm, which SoftBank also owns, is . "As SoftBank Group broadens its AI infrastructure investments in ventures such as Cristal intelligence and Stargate, the acquisition will help enhance SoftBank Group's capabilities in key areas and accelerate its growth initiatives," the company said in a statement. Ampere is set to keep its name and run as a wholly owned subsidiary after the deal closes, which is expected to happen later this year pending regulatory approval and other closing conditions. "With a shared vision for advancing AI, we are excited to join SoftBank Group and partner with its portfolio of leading technology companies," James, who is CEO of Ampere, said in a statement. "This is a fantastic outcome for our team, and we are excited to drive forward our AmpereOne roadmap for high performance Arm processors and AI."

With $6.2B Purchase Of Chip Designer Ampere, SoftBank Is Going Big This Year

That mentality came across clearly Wednesday evening, when the storied tech dealmaker announced it will acquire chip design company Ampere Computing, in a $6.2 billion cash transaction. Under terms of the deal, Ampere will operate as a wholly owned subsidiary of SoftBank Group. Founded in 2017, Silicon Valley-based Ampere designs high-performance AI chips based on the Arm compute platform. The company previously raised $814 million in known funding, with Oracle and private equity firm Carlyle as its lead backers. Of course, SoftBank knows quite a bit about the Arm ecosystem, having acquired British chipmaker Arm Holdings in 2016 for $32 billion. It was a famously successful investment, with Arm going public in 2023 and currently sporting a market cap around $124 billion. For SoftBank, the Ampere deal fits into a broader investment strategy around AI infrastructure. In the deal announcement, it cited other recent investments around this theme, including a partnership with OpenAI to develop advanced enterprise AI. Most prominently, SoftBank is a lead partner and backer for The Stargate Project, a multicompany initiative which is looking to spend $500 billion over the next four years to build out AI datacenters and infrastructure. SoftBank chief Masayoshi Son will serve as chairman of the project. SoftBank has also been stepping up activity for its Vision Fund. The fund regularly ranked among the most-active and highest-spending startup backers a few years ago, around the market peak. However, it scaled back sharply in later quarters, as many of its largest unicorn bets fared poorly. The fund also made a strategic investment of an undisclosed amount in cloud security startup Wiz in November. Should Google consummate its planned $32 billion purchase of the company, that ought to turn into a very profitable wager.

Arm could end up competing with its own partners as it seeks to purchase Ampere computing for $6.5 billion

The acquisition could put Arm in direct competition with its chip partners We previously reported that Arm is considering making its own silicon, and that the British firm's Japanese owner, SoftBank, was considering acquiring Ampere Computing, Arm's only independent server chip vendor, to make this a reality. Ampere, based in Santa Clara, California and backed by Oracle, designs high-performance, energy-efficient processors optimized for AI and cloud workloads using the Arm compute platform. An acquisition by SoftBank could shift Arm from simply licensing chip designs to manufacturing its own chips - putting it in direct competition with existing customers and expanding Arm's footprint in the growing data center space. Up until now, the acquisition had only been a strong rumor, but it's now finally confirmed that SoftBank will be buying Ampere Computing for $6.5 billion (approximately ¥973.0 billion). The deal, announced on March 19, 2025, will make Ampere a wholly owned subsidiary through SoftBank's investment arm, Silver Bands 6. SoftBank Group already owns a majority stake in Arm, and an affiliated company, Arm Technology Investment Ltd, also holds an 8.08% stake in Ampere. The transaction has already been approved by SBG's Board of Directors but as always with these things it remains subject to regulatory approvals, including U.S. antitrust clearance and review by the Committee on Foreign Investment in the United States (CFIUS). In a statement, Softbank said, "Through this strategic alignment following the transaction, Ampere's expertise in developing and taping out Arm-based chips can be integrated, complementing design strengths of Arm Holdings." It added that Ampere is expected to collaborate with "group companies, investees, and business partners." SoftBank said the purchase will be financed through borrowings from Mizuho Bank and others. The Raine Group is serving as financial adviser, with Morrison & Foerster providing legal counsel. Ampere will continue operating under its current structure until the deal closes, which is expected to be in the latter half of 2025. SoftBank previously acquired UK-based chip designer Graphcore for between $400 million and $500 million. That company was once considered a potential rival to Nvidia and AMD, but fell on hard times after failing to capitalize on the AI boom. It's not too much of a stretch to think that Softbank could integrate Ampere with Arm and Graphcore to build a more unified AI compute strategy across its portfolio.

SoftBank to acquire US semiconductor firm Ampere for $6.5 billion

SoftBank Group said Wednesday that it had reached a deal to acquire US semiconductor firm Ampere for US $6.5 billion. The deal, which comes as demand for chips has exploded thanks to the AI boom, is still subject to regulatory approval, SoftBank said in a statement. Ampere Computing is a chip design firm "focused on high-performance, energy efficient, sustainable" AI technology, based on the ARM compute platform, the statement said. SoftBank Group is already the majority shareholder in Arm Holdings, whose technology is used in 99% of smartphones. The acquisition, which is expected to close in the second half of 2025, would reinforce SoftBank's aggressive push into AI. In February, SoftBank Group and US tech giant OpenAI announced that they would form a joint venture to offer advanced artificial intelligence to businesses. The two were already working together on the Stargate drive announced in January by US President Donald Trump to invest up to $500 billion in artificial intelligence infrastructure in the United States.

SoftBank agrees to buy Arm chipmaker Ampere Computing for $6.5B - SiliconANGLE

SoftBank Group Corp. late today confirmed that it will buy the chipmaker Ampere Computing LLC in a deal that's valued at $6.5 billion. It said it expects the acquisition to close during the second half of the year, according to a statement. Oracle Corp. and Carlyle Group, two of the main stakeholders in Ampere, have both agreed to sell their stakes in the company. Ampere will operate as an independent subsidiary of SoftBank. It will continue to be based at its headquarters in Santa Clara, California. Founded in 2017 by former Intel President Renee James, the chipmaker specializes in Arm-based central processing units for data center servers. Its most powerful chip is the new AmpereOne M, which only started shipping in December. The processor features up to 192 cores and higher memory bandwidth than its predecessors, enabling applications to move data to and from the random-access memory much faster. The company is also working on the development of an even more powerful chipset called Aurora that will feature up to 512 cores, twice as many as the AmpreOne M. It will also have a dedicated module for artificial intelligence, and ship with High-Bandwidth Memory or HBM, which is a new kind of high-speed RAM that's widely used in AI accelerators. Ampere's products are an alternative to the x86-based server chips sold by Intel Corp. and Advanced Micro Devices Inc. The Arm-based architecture means they generally consume much less energy. The company employs around 1,000 semiconductor engineers, SoftBank said in a statement. SoftBank Chairman and Chief Executive Masayoshi Son said in a statement he's buying Ampere because the future of "artificial super intelligence" requires breakthrough computing power. "Ampere's expertise in semiconductors and high-performance computing will help accelerate this vision, and deepens our commitment to AI innovation in the United States," he added. Reports that Ampere was exploring a sale first emerged in September. Back then, Bloomberg reported the company had hired a financial adviser to help it weigh up its options. SoftBank first emerged as a potential suitor in January, and last month it was reported that talks over a deal were progressing well. SoftBank is already a major player in the chip market thanks to its stake in Arm Holdings Plc, which it acquired for $32 billion back in 2016. Arm went public via an initial public offering in 2023, but SoftBank still holds a majority stake in the company. Last July, SoftBank inked a deal to acquire another chipmaker called Graphcore Ltd., which, like Arm, is based on the U.K. Graphcore has built a specialized AI processor known as the Bow IP that's based on wafer-on-wafer technology. It comprises two vertically stacked layers, with one containing the logic circuits and a second that holds the capacitors, which are components that can hold an electric charge. The capacitors deliver this electricity to the logic circuits more efficiently, boosting their performance. It has been said that SoftBank may encourage Ampere to partner with Graphcore and build AI servers that include not only those accelerators, but also Arm-based CPUs that can help to coordinate AI workloads.

SoftBank to acquire Ampere Computing for $6.5bn in AI push

The deal is part of a strategy at SoftBank to broaden its AI infrastructure. Japan's SoftBank Group has announced that it will acquire California-based silicon design company Ampere Computing in an all-cash transaction valued at $6.5bn. Once the acquisition closes, Ampere will operate as a wholly owned subsidiary of SoftBank Group and retain its name and headquarters in Santa Clara, while the agreement sees Ampere's lead investors, Carlyle and Oracle sell their positions in Ampere. The deal is part of a strategy at SoftBank Ventures to broaden its AI infrastructure. Back in February, SoftBank announced a partnership with OpenAI to develop and market advanced enterprise AI called 'Cristal intelligence'. It said Cristal intelligence would securely integrate the systems and data of individual enterprises in a way that is customised specifically for each company. SoftBank Group said it would spend $3bn annually to deploy OpenAI's solutions across its group companies, making it the first company in the world to integrate Cristal intelligence at scale. SoftBank Group is also a key equity investor in the Stargate Project, a new company which announced in January it would invest $500bn over the next four years building new AI infrastructure for OpenAI in the US. Along with SoftBank, the other initial equity investors are OpenAI, Oracle, and MGX, but SoftBank and OpenAI are the lead partners. Arm, Microsoft, Nvidia, Oracle and OpenAI are the key initial technology partners. "The future of artificial super intelligence requires breakthrough computing power," said Masayoshi Son, who is chair and CEO of SoftBank Group as well as chair of the new Stargate Project. "Ampere's expertise in semiconductors and high-performance computing will help accelerate this vision, and deepens our commitment to AI innovation in the United States." "With a shared vision for advancing AI, we are excited to join SoftBank Group and partner with its portfolio of leading technology companies," said Renée J James, founder and CEO of Ampere. Ampere was originally founded in Silicon Valley in 2018 with a focus on cloud-native computing, but has since expanded into what it describes as "sustainable AI compute". Don't miss out on the knowledge you need to succeed. Sign up for the Daily Brief, Silicon Republic's digest of need-to-know sci-tech news.

SoftBank to acquire Ampere Computing for $6.5 billion

SoftBank Group announced on Wednesday its plan to acquire Ampere Computing, a semiconductor design company founded by former Intel executive Renee James, in a $6.5 billion all-cash deal aimed at enhancing its investment in artificial intelligence infrastructure. The acquisition is projected to close in the second half of 2025. Ampere will function as a wholly-owned subsidiary of SoftBank following the acquisition, which will see Carlyle Group and Oracle, the startup's lead investors, divesting their stakes. Carlyle holds a 59.65% stake in Ampere, while Oracle owns 32.27%. The company, headquartered in Santa Clara, California, employs around 1,000 semiconductor engineers. In 2021, SoftBank considered acquiring a minority stake in Ampere, valued at $8 billion at that time, according to Bloomberg reports. SoftBank is a significant shareholder in Arm Holdings, which is relevant given that Ampere has developed server chips based on the ARM computing platform, creating a potential strategic alignment between the two companies. SoftBank acquired Arm for $32 billion in 2016, and Arm went public in 2023. Ampere's clientele includes major cloud service providers such as Google Cloud, Microsoft Azure, Oracle Cloud, Alibaba, Tencent, as well as organizations like HPE and Supermicro. The acquisition is part of SoftBank's broader strategy to reinforce its capabilities in critical areas like AI and computing, and accelerate its growth initiatives in the rapidly evolving tech landscape. EvolutionIQ's AI optimizes workers' comp claims Masayoshi Son, Chairman and CEO of SoftBank Group Corp., stated, "The future of Artificial Super Intelligence requires breakthrough computing power. Ampere's expertise in semiconductors and high-performance computing will help accelerate this vision and deepens our commitment to AI innovation in the United States." Founded in 2017, Ampere has evolved from its initial focus on cloud-native computing to include sustainable AI computing solutions. Renee James, the founder and CEO, expressed her enthusiasm about joining SoftBank, noting, "With a shared vision for advancing AI, we are excited to join SoftBank Group and partner with its portfolio of leading technology companies. This is a fantastic outcome for our team, and we are excited to drive forward our AmpereOne roadmap for high-performance Arm processors and AI." SoftBank's recent activities in 2023 have included partnerships aimed at developing advanced enterprise AI, like its collaboration with OpenAI on a project referred to as Cristal intelligence, and participation in President Donald Trump's $500 billion Stargate initiative focused on private AI investments. Following the announcement, shares of SoftBank were last seen trading down about 2% as the company solidified plans to expand its influence in AI technologies through this acquisition of the fabless chip designer.

SoftBank Strikes $6.5B Deal to Buy US Chip Designer Ampere

The deal has been approved by SoftBank's board, but needs regulatory approvals. SoftBank Group said Thursday that it has struck a deal to buy U.S.-based chip designer Ampere Computing Holdings for $6.5 billion, as part of the Japanese investment firm's plans to boost its exposure to artificial intelligence development. SoftBank said Thursday that buying Ampere would be in keeping with its "broader strategic vision and commitment to driving innovation in AI and compute." Ampere, based in Santa Clara, California, has around 1,000 semiconductor engineers and "designs high-performance, energy-efficient processors specialized for next-generation cloud computing and AI workloads," SoftBank said. Arm owns 8.08% of Ampere while its other investors are private equity firm Carlyle Group (CG) and Oracle Project Denver Holdings, according to the press release. The deal has been approved by SoftBank's board. However, it needs regulatory approvals including U.S. antitrust clearance and the green light from the Committee on Foreign Investment in the United States (CFIUS), which vets takeovers on U.S. national security grounds.

SoftBank to acquire US semiconductor firm Ampere for $6.5 billion

SoftBank Group has reached a $6.5 billion deal to acquire US semiconductor firm Ampere, specialising in high-performance AI chips. The acquisition, subject to regulatory approval, aims to strengthen SoftBank's push into AI. It follows their joint venture with OpenAI and collaboration on AI infrastructure in the US.SoftBank Group said Wednesday that it had reached a deal to acquire US semiconductor firm Ampere for US $6.5 billion. The deal, which comes as demand for chips has exploded thanks to the AI boom, is still subject to regulatory approval, SoftBank said in a statement. Ampere Computing is a chip design firm "focused on high-performance, energy efficient, sustainable" AI technology, based on the ARM compute platform, the statement said. SoftBank Group is already the majority shareholder in Arm Holdings, whose technology is used in 99 percent of smart phones. The acquisition, which is expected to close in the second half of 2025, would reinforce SoftBank's aggressive push into AI. In February, SoftBank Group and US tech giant OpenAI announced that they would form a joint venture to offer advanced artificial intelligence to businesses. The two were already working together on the Stargate drive announced in January by US President Donald Trump to invest up to $500 billion in artificial intelligence infrastructure in the United States.

Masayoshi Son's SoftBank Buys Oracle-Backed Ampere For $6.5 Billion To Boost US AI Push - Carlyle Group (NASDAQ:CG), ARM Holdings (NASDAQ:ARM)

On Wednesday, SoftBank Group SFTBF SFTBY announced that it has acquired Ampere Computing in a $6.5 billion deal, with the transaction expected to close in the second half of 2025. What Happened: Ampere, backed by Oracle Corp ORCL and Carlyle Group Inc. CG, designs high-performance server chips based on Arm Holdings PLC - ADR ARM architecture. Both Oracle and Carlyle will sell their stakes as part of the transaction. Founded in 2017 by Renee James, a former Intel Corp president, Ampere will operate as an independent subsidiary of SoftBank and retain its headquarters in Santa Clara, California. The company currently employs around 1,000 semiconductor engineers. See Also: Goldman Sachs Flags Market Correction Risk As Inflation, Trump Policies Stir Uncertainty Why It's Important: The acquisition signals SoftBank's aggressive pivot toward AI infrastructure, following its partnership with OpenAI and involvement in the Donald Trump-backed $500 billion Stargate initiative. The move also bolsters SoftBank's Arm ecosystem, following its $32 billion acquisition of Arm in 2016 and Arm's 2023 IPO. SoftBank also plans to build a $676 million AI data center in Japan. This facility is expected to support large-scale AI projects, further enhancing SoftBank's AI ecosystem. Earlier this week, the company also unveiled a new AI model designed to optimize telecom operations. Photo by NP27 on Shutterstock. Read Next: Jim Cramer Warns On 'Quantum Stories' As Stocks Plunge: 'We Need You Out Before The Froth Goes Away' Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. ARMARM Holdings PLC $119.00-0.60% Stock Score Locked: Want to See it? Benzinga Rankings give you vital metrics on any stock - anytime. Reveal Full Score Edge Rankings Momentum34.04 Growth- Quality- Value5.14 Price Trend Short Medium Long Overview CGThe Carlyle Group Inc $43.462.99% ORCLOracle Corp $153.452.68% SFTBFSoftBank Group Corp $62.2719.9% SFTBYSoftBank Group Corp $26.15-1.02% Market News and Data brought to you by Benzinga APIs

SoftBank seals $6.5 billion deal for chip designer Ampere

SoftBank Group has agreed to acquire semiconductor designer Ampere Computing in a move that further broadens the Japanese investment firm's push into artificial intelligence infrastructure. SoftBank is buying Ampere in an all-cash transaction that values the Santa Clara, California-based firm at $6.5 billion, according to a statement. The deal for Ampere, whose early backers included Oracle and private equity firm Carlyle Group, adds to a wave of chip companies looking to capitalize on a spending boom in AI.

SoftBank acquires US chip designer Ampere for $6.5 billion By Investing.com

Investing.com -- SoftBank (TYO:9984) Group Corp has finalized an agreement to acquire U.S.-based chip designer Ampere Computing Holdings for $6.5 billion. The deal, announced late Wednesday, will enhance the Japanese technology investment company's AI capabilities. It comes at a time when SoftBank is embarking on a large-scale data-center project in the U.S., among other ventures. Ampere Computing Holdings, located in Santa Clara, California, designs energy-efficient processors for cloud and AI computing. The company employs around 1,000 skilled chip engineers. SoftBank believes Ampere's proficiency in chip development will augment the design strengths of Arm Holdings (NASDAQ:ARM), a unit of SoftBank. Arm Holdings, spurred by a surge in AI chip purchasing, reported record quarterly sales for the three months ending in December. Masayoshi Son, SoftBank's Chief Executive, stated that achieving AI that exceeds human capabilities necessitates a leap in computing power. He highlighted Ampere's semiconductor and high-performance computing expertise as key to accelerating this vision and reaffirmed SoftBank's commitment to AI innovation in the United States.